Financial Data and Key Metrics Changes - For the full year 2025, the company generated revenue of $2.9 billion, reflecting a year-over-year decline driven by unfavorable pricing and mix, and lower volumes in both TiO2 and zircon [12] - Loss from operations was $253 million, and net loss attributable to Tronox was $470 million, including $233 million of restructuring and other charges [13] - Adjusted EBITDA was $336 million, with an adjusted EBITDA margin of 11.6% [13] Business Line Data and Key Metrics Changes - TiO2 volumes in Q4 reached their highest point of the year, with a 9% increase in volumes, partially offset by a 4% decline in price [14] - Zircon revenues increased 32% sequentially, driven by a 42% increase in volumes, although zircon price was down 7% quarter to quarter [15] - Revenue from other products increased 10% compared to the prior year, mainly driven by higher pig iron volumes [15] Market Data and Key Metrics Changes - The company experienced market share gains in India, Latin America, and the Middle East, supported by anti-dumping measures [14] - North America and Europe saw lower volumes consistent with normal fourth quarter demand patterns [14] - The company noted a structural change in global TiO2 trade flows, particularly benefiting from anti-dumping duties [7] Company Strategy and Development Direction - The company announced the closure of two pigment plants to streamline operations and improve cost structure over the long term [9] - A sustainable cost improvement program is in place, with more than $90 million of run rate savings achieved, significantly exceeding the original target [10] - The company is cautiously optimistic about market dynamics improving, with expectations for TiO2 prices to rise due to recent price increase announcements [11] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the recovery in TiO2 and zircon pricing, indicating an inflection point in both markets [60] - The company is focused on cash generation while balancing the impact on EBITDA, with expectations for positive free cash flow in 2026 [21] - Management highlighted the importance of maintaining liquidity and managing costs amid market fluctuations [20] Other Important Information - The company ended the year with total debt of $3.2 billion and net debt of $3 billion, with a weighted average interest rate of approximately 6% [17] - Liquidity as of December 31st increased to $674 million, including $199 million in cash and cash equivalents [17] - Capital expenditures totaled $341 million for the year, with a focus on maintenance and safety [18] Q&A Session Summary Question: Free cash flow guidance and EBITDA expectations - The company indicated that to reach breakeven, approximately $350 million in EBITDA is needed, with a focus on cash generation and working capital improvement [28][29] Question: Production costs and mining operations - Management expects improvement in operations from Q4 to Q1, with a significant focus on sustainable cost improvement programs [36][67] Question: Volume changes in TiO2 and market dynamics - The company noted a slight decline in TiO2 volumes year-over-year, with the global TiO2 industry experiencing similar trends [57] Question: Pricing discipline in the industry - Management expressed confidence in industry-wide price increases, indicating that many companies are announcing price hikes [84][86]

Performance in Q4 2025 exceeded expectations due to TiO2 volumes reaching their highest point of the year, driven by structural shifts in global trade flows following antidumping duties in India and other protected regions. Management attributed the decision to close the Fuzhou and Botlek plants to prolonged market downturns and overcapacity, aiming to streamline the global network and improve long-term cost structures. The sustainable cost improvement program achieved $90 million in run-rate savings ...